BILL NUMBER: S7751

SPONSOR: MARTINEZ
 
TITLE OF BILL:

An act relating to the establishment of certain state equalization rates
for the Farmingdale union free school district and the Amityville union
free school districts

 
PURPOSE OR GENERAL IDEA OF BILL:

Relates to the establishment of state equalization rates for the Farm-
ingdale union free school district and the Amityville union free school
districts

 
SUMMARY OF PROVISIONS:

Section 1. States Farmingdale Union Free School District and Amityville
Union Free School District shall update and calculate the level of
assessment pursuant to article 16 of the real property tax law at the
same time and on a regular basis.

              

Section 2. Is the enactment clause.

 
JUSTIFICATION:

Residents in parts of the Farmingdale and Amityville Union Free School
Districts, located within the Town of Babylon, have faced significant
increases in property taxes due to recent changes in equalization rates
set by New York State. While Nassau County's equalization rate remained
stable, the Town of Babylon's rate was lowered, resulting in a
disproportionate shift of school tax levies onto Babylon residents.
It's noteworthy that the Town of Babylon covers a substantial portion of
Suffolk County and a smaller segment of Nassau County.

Here's a closer look at the financial impact: In the Farmingdale School
District, Babylon residents faced a collective increase of approximately
$5 million in school taxes, while Nassau County residents saw a corre-
sponding decrease of around $1 million.  Similarly, in the Amityville
School District, Babylon residents experienced a collective increase of
approximately $3 million, with Nassau County residents benefiting from a
decrease in their tax burden.

This situation leaves local jurisdictions without the authority to alle-
viate the issue since it falls under state jurisdiction. Between 2023
and 2024, the Town of Babylon's fair market value rose significantly-ap-
proximately $300 million-resulting in a tax shift from 22% to 25% of the
total levy. In stark contrast, Nassau County's equalization rate
remained virtually unchanged during this same period, exacerbating the
tax burden on Babylon residents. While tax fluctuations are historically
common, the magnitude of this shift is unprecedented in recent memory.

The resulting uproar among constituents in District 11 underscores the
urgency of addressing this matter. The purpose of this proposed bill is
straightforward: to lower property taxes for Town of Babylon residents
to align with those of the Town of Oyster Bay in Nassau County for the
next two years.


This will provide the state with necessary time to evaluate and estab-
lish a fair and equitable equalization rate for both townships.  By
taking this action, we can ensure that residents are not unjustly
burdened while a comprehensive assessment is conducted, ultimately
fostering a fairer taxation system for all.

 
FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS:

To be determined.

 
EFFECTIVE DATE:
This act shall take effect immediately.